This column is reprinted with the publisher’s, Wolters Kluwer, permission from Global Tax Weekly, and originally appeared on page 19, May 3rd edition.
Companies with known underpaid taxes can accrue a significant amount of delinquent interest
and penalties if the unpaid tax amount is substantial and has been increasing over a long period
of time. Therefore, when a company becomes aware that a taxing jurisdiction is offering a tax
amnesty program, they should strongly consider whether taking advantage of the program is right
for their company. This article focuses on the general opportunities and complications associated
with tax amnesty programs. As of the date of this article, Alabama, Connecticut, and Texas have
amnesty programs scheduled for 2018. Given that the Texas Amnesty Program begins May 1,
2018, we will also provide some helpful information about the program later in this article.